Where Are the Economies of Scale in Homebuilding?

Over the last few months we’ve examined the extent of the construction industry’s productivity problem. We’ve looked at a variety of construction productivity metrics, both for the US and for countries around the world, and found that construction productivity almost always rises much less in construction than it does in industries like manufacturing; often, it doesn’t improve at all. We’ve analyzed trends in construction costs in the US and around the world, and noted that construction almost n...